TO ALL OFFICE BEARERS, STATE FEDERATIONS ANDALL INDIA BANKWISE ORGANISATIONS

Dear Comrades,

Our struggle to maintain sanctity of collective bargaining and

bilateral settlement and against attacks in Associate Banks

In the context of the grave development wherein we find that SBI and Associate Bank managements are attempting to scuttle collective bargaining rights and obligations of bilateral settlement by foisting the SBI service conditions in the Associate Banks in violation of the provisions of bipartite settlement, from AIBEA we have addressed a letter to the Chairman of IBA urging upon him to suitably advice the managements in SBI and Associate Banks since they are party to the Bipartite Settlement.

The letter is reproduced herein for the information of our units and members.

With greetings,

Yours Comradely

Sd/-

C.H. VENKATACHALAM

GENERAL SECRETARY

Text of AIBEA’s Letter to IBA:

Reg: Attempts at violation of 10th BP Settlement by the management of State Bank of India by coercing Associate Banks to extend SBI service conditions in the matter of duties and quantum of Special Pay

We wish draw your urgent attention to the following serious development which is a matter of grave concern for us and expect the same from the side of IBA also as both of us are parties to the Settlement mutually binding on both the sides.

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Clause 11 of the Settlement deals with Special Pay applicable to Banks other than State Bank of India and Part A in Schedule II deals with the revised amount of Special Pay payable to the employees.

Clause 11(ii) provides that General Rules regarding Special pay as contained in I BPS and amended from time to time shall continue to apply.

Clause 11 (v) permits State Bank of India (only State Bank of India ) to review and settle the rates of special pay and duties at their bank level.

Clause 39 provides special compensatory provisions in respect of SBI ( only in SBI ) to be reviewed and settled at their Bank level.

The above provisions of the Settlement clearly mean and imply that the Special Pay rates and duties in all other Banks will be as provided therein and cannot be altered and amended by them at their Bank level.

It would be recalled that during the negotiations for the 10th BPS, the IBA raised the issue of rationalisation of Special Pay and desired enhancement in duties. From the side of the unions, it was indicated that the duties can be revised and expanded if the rates of Special Pay are also upwardly revised commensurately. However, IBA did not insist on any change in the duties and powers of Special pay posts and accordingly the Settlement was signed. Even the SBI representative in the negotiation Committee of the IBA did not suggest any special provisions for Associate Banks on the lines of SBI.

All the Associate Banks viz. SBT, SBM, SBH, SBP and SBBJ, are party to the Settlement and are bound by the provisions of the Settlement. They had given clear mandate to the IBA to negotiate and settle on behalf of their Banks and hence the Settlement is fully binding on them.

But it is disturbing to learn that the managements of the Associate Banks, at the instance of SBI, are attempting to change the duties and rate of Special pay in deviation and violation of the provisions contained in the Settlement. This cannot be countenanced or permitted.

It is further understood that the SBI management is forcing the Associate Banks to adopt the Special Pay duties as are applicable in SBI. While the Settlement provides for separate dispensation in the case of SBI, the same leverage is not available to any other Bank including the Associate Banks.

The attempt on the part of the SBI and Associate Banks to violate the provisions of 10th BPS is viewed seriously by us and we urge upon the IBA to intervene to advise the Associate Banks/SBI not to indulge in such illegal decisions.

We wish to put the IBA on notice that should the SBI/Associate Banks choose to proceed in the matter as above by violating the Settlement, AIBEA would be constrained to re-open the entire Settlement and also compelled to combat the violations through all remedies available to us including direct actions.